Mr Low has previously denied charges filed in Malaysia, adding that it would be “impossible” for him to receive a fair trial there.

The BBC has contacted Goldman Sachs for comment. The company, which earned $600m in fees stemming from its work with 1MDB, has in the past denied wrongdoing and said it was co-operating with the investigation.

How did we get here?

These are reportedly the first US criminal charges to surface in the 1MDB scandal. Authorities say billions of dollars were embezzled from the state fund to buy art, property, a private jet – and even to help finance the Wolf of Wall Street film starring Leonardo DiCaprio.

The scandal has prompted investigations around the world and played a role in the election defeat earlier this year of Malaysia’s former prime minister, Najib Razak, who is accused of pocketing $700m (£517m) from the fund he set up.

What are the new charges?

In this case, prosecutors say former bankers Tim Leissner and Roger Ng worked with Mr Low to bribe government officials to win 1MDB business for Goldman Sachs.

They worked on three bond offerings in 2012 and 2013 that raised about $6.5bn for the fund, the indictment says.

The money was supposed to support development projects, but prosecutors say the three men “conspired to launder” more than $2.7bn through the US financial system, and used this money to pay bribes and “for the personal benefit of themselves and their relatives”.